pharma

Aurobindo Pharma

AUROPHARMA · Nifty 50

1,422.4

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionpharma sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score90/100 (STRONG). 1 positive flags, 3 concerns.
Historical Context34 similar technical setups. Average outcome: -8.0% decline. 0% positive.

Fundamental

90/100

STRONG

Trust

95/100

Verification

Coverage

44/100

LIMITED

Quick Take

Aurobindo Pharma scores 90/100 on fundamentals (strong). Aurobindo Pharma: BROAD EXPANSION regime.

Fundamental Score: 90/100 · STRONG · 2 signals detected

DuPont Analysis

ROE 9.4% broken into three drivers. Each shows how efficiently the company generates returns.

ROE9.4%=
10.6%Net Margin
×
0.6xTurnover
×
1.5xLeverage

ROE of 9.4% is modest margin-driven and stable. Net margin of 10.6% × asset turnover of 0.57x × leverage of 1.5x.

What This Means

Net margin of 10.6% means the company keeps ₹10.6 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.57x means the company efficiently uses its assets to generate revenue. Leverage of 1.5x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

59.5%

Operating

16.6%

Net

10.6%

stable

Gross margin 59.5% → operating margin 16.6% → net margin 10.6%. Margins are stable.

Financial Health

Earnings Quality

STRONG

Cash flow covers net income 1.6x — earnings are HIGH QUALITY. The company converts profit to cash efficiently.

Debt Sustainability

COMFORTABLE

Interest covered 13.8x — very comfortable. Debt service is not a concern. Debt/EBITDA at 1.1x is low — balance sheet has capacity.

Free Cash Flow

STRONG

FCF margin at 7.2% — moderate. Generating cash after investments.

Peer Comparison

Aurobindo Pharma is compared against 10 peers in the pharma sector.

Key Watchpoints

🟢

Breaks above ₹1494 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹1351 (-5%)

Further downside risk

🟢

Pharma sector entering leadership

Sector rotation signal

Detected Patterns

✅ Cash Flow Inflection: FCF turned positive after negative periods — major transition
✅ High Earnings Quality: Cash flow covers earnings 1.6x — strong cash conversion

Risk Flags

⚠️ 3 Warning1 Positive4 total flags
⚠️85% of debt is short-term
Balance Sheet

High refinancing risk. Company needs to roll over debt frequently. Vulnerable to credit market freezes.

⚠️Cash covers 40% of current liabilities
Balance Sheet

Tight liquidity. Monitor cash position and access to credit lines.

⚠️Audit risk elevated: 8/10
Governance

Potential accounting concerns. Cross-check with earnings quality flags.

Minimal unusual items — clean earnings
Earnings Quality

Profits are from core operations, not one-offs. High quality.

⚠️ 3 warning flags — monitor closely.

Data Quality

95/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)

50 articles scanned for fundamental themes

Facts

P/E Ratio
24.3UNAVAILABLE
P/B Ratio
2.3HIGH
Market Cap
₹8474166.6L CrHIGH
From 52W High
92% of high
Sector Peers
10
Aurobindo Pharma Stock Analysis, Valuation, Fundamentals & Intelligence | FynSight